Brother can you spare a dime?

Bing Crosby* singing a song from the Great Depression seems a long way from where we are now in 2010, but to borrow a phrase, buddy can you spare £80 billion?

I know that at election time, we, the voters, are supposed to ask the difficult questions and receive the collective wisdom of our political masters, even if it bears little resemblance to the policies they then pursue once the ballots have been safely counted.

With a deficit of around £160 billion, you would imagine that the odd £80 billion would come in handy. By almost halving the deficit it would, in fact, help Chancellor Darling or Chancellor Osborne or even Chancellor Cable ( surely some mistake here) to achieve at a stroke what the present Government has said it wants to do over the next 4 years.

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Too early to say

Asked in the 1970s what he thought about the effects of the French Revolution, Chinese Premier at the time Zhou Enlai  famously replied, “It is too early to say”. 

Currently there are a large number of reports from a variety of sources that the end of the recession is here and that the good times are set to roll again. 

The Stock Market has surged above 5000, house prices appear to have risen or at least stopped falling and there are tentative reports that law firms have been through the worst (and it was pretty awful according to some reports) and that recruitment just might be in the up again.

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Third party funding and the credit crunch

By way of a postscript to the preceding post ‘Too early to say‘, I have noticed at least one upturn in activity. 

The market for Third Party Litigation Funding is increasingly in the news, whether because of cases like Stone & Rolls v Moore Stephens in the House of Lords in July or probably because there is a feeling that there is some mileage in this form of funding and money to be made by those who are prepared to do the hard work and raise the funds/take the risk.

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Down among the green shoots

Green shoots?  But will they be trampled by the elephant in the room?

In her recent article (Positive thoughts, The Lawyer, 26th August 2009) Katy Dowell quotes the claim by Patrick Sherrington, global head of litigation at Lovells, that London is a “good place to hear cases” and his view that the Government (by asking Lord Justice Jackson to review litigation costs) has misrepresented the British commercial justice system as being an expensive place to litigate.

Sherrington asks, “Why should we say it’s expensive? It’s shooting ourselves in the foot.”

Economists may disagree whether the economy is set to recover and whether the recovery will be W shaped, V shaped or any other shape, but I have noted before [The race is on, 25th August] that there appears to be an upturn in the amount of litigation work in the City…

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The race is on

Usain Bolt’s electrifying run in Berlin last weekend which resulted in a new world record of 9.58 seconds for the 100m set the press speculating on how low he could take the world record.

Recent events in the global economy have led to a very different run for lawyers. Judging by the gloomy stories coming out of all sections of the legal market, you could be forgiven for wondering how low matters can go! 

Stories abound of redundancies, falling profits, part time working, enforced sabbaticals, deferred training contracts and even advice from the Law Society to students not to go into the law. 

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